Early Access

10-KPeriod: FY2018

COMCAST CORP Annual Report, Year Ended Dec 31, 2018

Filed January 31, 2019For Securities:CMCSACCZ

Summary

Comcast Corporation's 2018 10-K filing highlights a year of significant growth and strategic expansion, most notably the acquisition of Sky in the fourth quarter. This acquisition positions Comcast as a truly global media and technology company, with operations spanning the U.S., Europe, and Asia. The company's core Cable Communications segment demonstrated continued strength, driven by increases in high-speed internet and business services revenue, even as video and voice revenues saw declines. NBCUniversal's segments also performed well, bolstered by major events like the PyeongChang Olympics and the Super Bowl, though Filmed Entertainment experienced a revenue dip. Financially, Comcast reported substantial revenue growth, largely attributable to the inclusion of Sky's results for the final quarter of the year and the strong performance of its core Cable Communications and NBCUniversal segments. The company also continued its commitment to shareholder returns through dividends and share repurchases, though it paused repurchases in 2019 to focus on debt reduction following the Sky acquisition. Investors should note the ongoing trend of declining video subscribers, offset by growth in high-speed internet, and the increasing importance of international operations with the integration of Sky.

Financial Statements
Beta
Revenue$94.51B
Operating Expenses$75.50B
Operating Income$19.01B
Interest Expense$3.54B
Net Income$11.73B
EPS (Basic)$2.56
EPS (Diluted)$2.53
Shares Outstanding (Basic)4.58B
Shares Outstanding (Diluted)4.64B

Key Highlights

  • 1Acquisition of Sky in Q4 2018, expanding Comcast's global reach.
  • 2Cable Communications segment revenue increased by 3.9% to $55.1 billion, driven by high-speed internet and business services.
  • 3NBCUniversal segment revenue grew by 8.9% to $35.8 billion, aided by broadcasts of major sporting events.
  • 4Total consolidated revenue reached $94.5 billion.
  • 5Comcast declared total dividends of $3.5 billion in 2018 and announced a 10% increase in its quarterly dividend.
  • 6The company paused its share repurchase program in 2019 to accelerate debt reduction related to the Sky acquisition.
  • 7Despite growth, video and voice revenues in the Cable Communications segment continued to decline, reflecting industry trends.

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